By Ayo Ayodele
The Nigerian Senate has passed a bill seeking the establishment of the Bitumen Development Commission, a strategic move aimed at harnessing Nigeria’s vast bitumen deposits for national development.
The bill, which received its third reading and final approval on Wednesday, was presented following the consideration of a report by the Senate Committee on Solid Minerals Development. The bill was sponsored by Senator Jimoh Ibrahim (APC, Ondo South), while the report was presented by Senator Diket Plang (APC, Plateau Central).
According to the Senate, Nigeria’s bitumen reserves—estimated between 13 and 42 billion barrels and located primarily in Ogun, Ondo, and Edo states—are the second largest globally and nearly double the country’s crude oil reserves. Despite this massive potential, the sector has remained underdeveloped due to the absence of a dedicated legal and institutional framework.
Senator Plang noted that the bill is the product of thorough research and stakeholder consultations, including a public hearing which attracted overwhelming support from industry players and experts. The proposed Commission, he said, would serve as a regulatory and developmental agency to oversee exploration, production, research, investment, and exportation of bitumen in Nigeria.
“Bitumen, being a key component in asphalt and industrial applications, should be prioritized for both local use and export to generate revenue,” Senator Plang said. “The high cost of road construction in Nigeria is largely due to imported asphalt. This bill seeks to reverse that trend by promoting the use of domestically sourced bitumen.”
He further stated that the Commission will develop policies, fund research, support small-scale operators, and boost local content in the construction and infrastructure sectors.
The passage of the bill aligns with the federal government’s push for economic diversification, especially in sectors beyond oil, and is expected to generate employment, reduce import dependence, and enhance infrastructure development.
Senate President Godswill Akpabio commended the bill’s sponsor and the committee for their forward-thinking approach, describing the initiative as vital to unlocking Nigeria’s underutilized mineral wealth.